DraftKings Q3 Preview: NFL Betting Growth and Prediction Market Impact
DraftKings is set to highlight its moves in the prediction markets alongside its third-quarter results, due Thursday after market close. Investors and analysts may focus on the broader growth of the prediction market sector and the company’s strategies to compete within it.
Financial Expectations
- Analysts forecast DraftKings' Q3 revenue at $1.23 billion, up from $1.09 billion in the same quarter last year, according to Benzinga Pro data.
- The company has surpassed revenue estimates in five of the past ten quarters, including Q2 2025.
- DraftKings is expected to report a loss of 40 cents per share for Q3, deeper than last year's 17 cents per share loss.
- Despite losses, the company has beaten earnings estimates in nine of the last ten quarters, including Q2 2025.
Market and Analyst Commentary
DraftKings recently acquired a company in the prediction markets space, signaling an intensified push into this area. The company is also examining key technical support levels in its stock performance.
Shaun C. Kelley, Bank of America Securities analyst, downgraded DraftKings along with peer Flutter Entertainment ahead of their earnings report.
Key Items to Watch
- Effects of the prediction market acquisition on revenue and growth.
- Response to broader sector growth trends in prediction markets.
- Performance in NFL betting, expected to reach record levels.
DraftKings’ Q3 report will provide valuable insights into how the company balances its sports betting core with expanding prediction market ventures.
Author’s summary: DraftKings aims to demonstrate growth in NFL betting and prediction markets in Q3, facing analyst skepticism despite consistent earnings beats in recent quarters.
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